What type of marketplace to start in a downturn? ๐Ÿ“‰

What type of marketplace to start in a downturn? ๐Ÿ“‰

Created
May 20, 2022
Read Time in min.
2
Author
Sjoerd Handgraaf
With all the talk of VC๐Ÿ’ฐ drying up, I started to think about what this might mean for aspiring marketplace founders.
notion image
This (hopefully) helpful graphic is heavily based on Casey Winters & Gilad Horev
's excellent essay on marketplace types (a must-read ๐Ÿ™‡โ€โ™‚๏ธ).
Using their definitions, I assume that there is a directly proportional relationship between: fee level โ†’ operating expenses โ†’ starting capital needed. Obviously, in this market, lower starting capital needed (staring from left in green) is better.
โš ๏ธย Disclaimer: Iโ€™m not a VC.
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